This insider information was sent to me by a reader of this blog and an old friend. I am posting it for your evaluation. Does this claim by Mark Garnett, President, Garnett Wood Products hold water?
As I service the oil and natural gas industry with construction mats, I am very, very familiar with the absurdities surrounded the Obama Administration’s stonewalling re: the permit for the XL Pipeline. What most people who do not have daily knowledge re: what is going on in the oil industry don’t know is that a lateral crude oil pipeline from the Bakken Shale Oil Field in ND is a planned part of the XL Project. This 75 mile long planned feeder line to the main XL crude oil pipeline is designed to replace the rail transport- in tank cars- that is currently moving 400,000 barrels of domestically produced crude oil, per day, from ND to the Gulf Coast of the US.
The ‘unbiased’ news media in the US has been careful to keep the American public completely uninformed re: the fact that a tremendous volume of American crude oil would be shipped in the XL Pipeline as well.
In addition, moving that volume of crude oil by rail is extremely expensive and, as compared to moving crude oil via a pipeline, more dangerous to the environment. It is exponentially more likely for an oil spill to occur due to a train derailment than from a break in a pipeline. And, the carbon footprint from using several thousand diesel locomotives to move crude oil by rail from ND to Houston, TX is 25 times larger than the carbon footprint from moving that same oil via a pipeline. There is no valid argument to be made that we are ‘saving the environment’ by delaying the XL Project.
So, why is this really happening? There are 20,000 construction workers ready to go to work and, as the gentlemen from Valero stated in his letter, there is a ready market for the oil that the XL Pipeline is to carry- both from Canada and from the US- so what is really going on behind the scenes?
There is an entire subculture of elite people in the US and in the rest of the world who have a vested interest in the delay or cancelation of the XL Project- a subculture that I refer to as the ‘$7 Per Gallon American Gasoline Club’.
The BNSF RR, controlled by Berkshire Hathaway has a monopoly re: moving the oil by rail from the Bakken Oil Field- that ND oil field, with proven oil reserves that rival those of Saudi Arabia, is serviced only by the BNSF RR.
The alternative energy industry in the US, into which the Obama Administration has poured millions of taxpayer subsidy dollars, is in favor of expensive fossil fuels. To expand in the short term, the solar and wind energy industries need fossil fuels to increase in price. And they are major contributors to the Obama Administration.
All of the other oil producers in the world have a vested interest in the delay or cancelation of XL. They want America to continue its imported oil addiction. And, they have rivers of money with which to support President Obama’s re-election campaign.
There are many, many other entities which are a part of ‘$7 Gas Club’- and what is best for the average American taxpayer is of zero concern to them. All the American news media needs to do- and which it absolutely will not do- is to identify them and follow their money to the Obama Campaign.
Garnett Wood Products
11400 Jess and Betty Garnett Avenue
PO Box 525
Brandsville, MO 65688